What is the Same-Day Delivery in E-commerce?

What is the Same Day Delivery in E commerce

The same day delivery in e-commerce is one of the most requested services. Amazon, Walmart and other marketplaces famous for their customer orientation have triumphed with this mode of delivery.

However, there is still a general ignorance about the same day delivery and its advantages for consumers and companies. In recent years, the reduction in delivery times has had a very positive impact on e-commerce.

6 out of 10 businesses plan to offer the same day delivery in 2019, according to a Go People report. Other statistics make it clear that there is a strong demand for this service. Almost 5 out of 10 consumers (49%) say that same day delivery is an added value when buying.

There are many benefits of same-day delivery:

  • improve customer satisfaction,
  • reduce friction in the purchase decision,
  • save on shipments,

Among others… But before delving deeper into them, it is worth addressing the definition of this mode of delivery.

What is same day delivery?

The same day delivery in e-commerce does not need a cover letter. It is defined as the delivery of products in less than 24 hours, preferably within the same day, although it is not always possible.

For example, if the customer processes the purchase of a product are same day delivery in the afternoon, you will receive it during the morning of the next day. This shipment would be considered same day delivery, although the delivery does not take place on the same day.

However, same day delivery is not a generalized service. Amazon, eBay, and other popular marketplaces offer it, but most e-commerce companies must implement it.

Also, the same day delivery in e-commerce has some limitations. Let’s see:

  • Available only in large urban centers: Los Angeles, London, Madrid, New York, etc. Shipments to these and other cities can be same day delivery, but smaller towns usually do not have this service.
  • Has limitations on holidays: it would be difficult to get same day delivery on Christmas Day, New Year’s Day and other designated dates.

5 benefits of same-day delivery that you probably don’t know about

Clarified what the same day delivery is, it is worth going deeper into the different benefits of this form of shipment.

Indeed, there are many advantages: from improving the customer experience to reducing the cost of logistics services. You can not miss them!

Greater customer satisfaction

Need I mention that? Certainly not. It is obvious that the same day delivery in e-commerce brings added value to customers. Your time is important.

The consumer equally values quality and immediacy in the service (this happens in e-commerce, hospitality and many other sectors). The same day delivery is an excellent way to exceed the expectations of users and loyalty.

Less friction in the purchase decision

Waiting times in the reception of products is the great handicap of e-commerce. However, the same day delivery makes it possible to reduce the impact of this disadvantage.

And it is that the immediacy in the entrance has demonstrated to improve the decision of purchase of the consumers online. Therefore, implementing the same day delivery can help reduce cart abandonment rates.

Increased shipping savings

The same day delivery is possible thanks to the use of local messaging services. Unlike large logistics companies, these services are less expensive, which means that the sales cycle has a lower cost for companies.

This money saved with the same day delivery can be invested in marketing or returned to customers in the form of bonuses and premium services, which can foster their loyalty.

A plus for trust

Another benefit of same-day delivery is its impact on consumer confidence.

AliExpress and other marketplaces of Eastern origin have a serious problem with the speed of delivery of their products since most of their suppliers are located in China. What are the consequences? Your customers receive their shipments in 2-3 weeks.

Delayed deliveries lead to mistrust of customers. They find a product and pay its price on the spot, but the company should not take more than 2-3 days to send it to them.

When e-commerce offers same-day delivery, your customers feel that they care about them. And this affects their confidence in the company.

Competitive advantage

As mentioned, the same day delivery is present in the best marketplaces of the market, but not in all of them.

If your competitors do not offer this service, this is a perfect opportunity to gain a competitive advantage. It is possible that your commercial rivals will follow your example, but you will have a good margin of advantage.

When they start implementing same-day delivery, it’s possible for your business to do the same with 2-hour delivery – you have to be one step ahead of the competition!

What about the disadvantages of same day delivery in e-commerce?

  • More efficient inventory: offering same day delivery requires great precision from logistics teams. You have to have the right number of products in the right place at the right time. This is not easy. Amazon, for example, uses logistic regression and Machine Learning to predict demand and anticipate customer needs.
  • Increased initial investment: when entering new commercial markets, offering same-day delivery requires greater outlay on suppliers and logistics centers. This is because the stock must be stored in the same geographical area in which the customer is. For global e-commerce, this means the creation of multiple logistics centers in the main cities of the world.

The same day delivery in e-commerce is a safe bet for companies. Its benefits, both for customers and merchants, help to understand why more and more e-commerce decide to implement this mode of shipping.

You still don’t offer it? What are you waiting for!

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ECN Team
E-Commerce Nation is The 1st B2B Web Media about E-Commerce in Europe. The team of E-Commerce Explorers help businesses to reach new potential market through delivering useful content. Let us know in comment if you enjoyed this content.